The Parent consolidated group reports the following results for the tax year. Entity Income or Loss Parent $180,000 Sub1 ($19,000) Sub2 ($38,000) Sub3 $62,000 If an amount is zero, enter "0". If required, round any division to two decimal places and use rounded amounts in subsequent computations. Round your final answers to the nearest dollar. a.  Assuming a 21% tax rate, what is the group's consolidated taxable income and consolidated tax liability? The consolidated taxable income is $ 185,000   If the Parent group has consented to the relative taxable income method, how will the consolidated tax liability be allocated among the Parent and Subsidiaries 1, 2, and 3? Parent $___________ Sub1 $__________ Sub2 $0 Sub3 $_________ What is the Parent, Sub 1, and Sub 3?

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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The Parent consolidated group reports the following results for the tax year.

Entity Income or Loss
Parent $180,000
Sub1 ($19,000)
Sub2 ($38,000)
Sub3 $62,000

If an amount is zero, enter "0". If required, round any division to two decimal places and use rounded amounts in subsequent computations. Round your final answers to the nearest dollar.

a.  Assuming a 21% tax rate, what is the group's consolidated taxable income and consolidated tax liability? The consolidated taxable income is $ 185,000

 

If the Parent group has consented to the relative taxable income method, how will the consolidated tax liability be allocated among the Parent and Subsidiaries 1, 2, and 3?

Parent $___________
Sub1 $__________
Sub2 $0
Sub3 $_________

What is the Parent, Sub 1, and Sub 3?

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